Prices may rise despite Eldoret fertiliser plant

A worker loading DAP fertiliser on a pickup in Kitale after purchasing the commodity at a private stockist on Feb 16, 2014 /NICHOLAS WAMALWA
A worker loading DAP fertiliser on a pickup in Kitale after purchasing the commodity at a private stockist on Feb 16, 2014 /NICHOLAS WAMALWA

Farmers woes over high fertiliser prices might not be over, despite the expected commissioning of a multi-billion shilling fertiliser plant in Eldoret.

Johnson Irungu, director of agriculture and

crops management at the Ministry of Agriculture has said that although the blending plant will boost the production, the prices are likely to remain the same or rise.

“Fertiliser prices per unit may not change but farmers will benefit from its improved quality which in the long run, will increase yields,” Irungu said.

Agriculture CS Willy Bett recently said the plant will not only reduce the cost of fertiliser but also the import of Sh3 billion fertiliser every year. Most of the raw materials will, however, still have to be imported.

Speaking to the Star on the phone, Irungu said although farmers expect the cost of fertiliser to decline, the plant will eventually reduce the high cost of production across the country.

“There will be farm demonstrations to convince farmers of the need to buy crop-and soil-specific fertiliser. The Eldoret Fertiliser Factory will produce crop-specific fertiliser brands. Farmers will get fertiliser depending on specific soil or crop requirements,” Irungu said.

Currently, DAP and NPK fertilisers are selling at Sh3,200 and CAN at Sh2,500. The government’s subsidised fertiliser sells for Sh1,800 for a 50kg bag of DAP and NPK fertiliser and CAN and Urea at Sh1, 500 and Sh1,300, respectively.

The initial plan was to have a manufacturing fertiliser plant but after doing a feasibility study, Irungu said, this was not economically viablebecause Kenya does not have the raw materials which include petroleum and phosphate deposits.

“For now, blending is economically viable but the plan is to have a manufacturing plant in future,” he said.

The plant funded buy Toyota Tsusho corporation has a capacity of 150,000 metric tonnes. It was set to be launched on Friday by President Uhuru Kenyatta but was postponed.

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